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Universal Finally Getting Online
Posted by jark on July 19, 2000 at 7:06 PM   (printer friendly)

Universal Music Group will start selling single downloadable tracks on the web for $2.00 a pop. The question is why?

It only took these folks 2 years to catch up with the real world, though they are still far behind, and begin to offer digital downloads from the web. One would presume that Universal is going to shoot themselves in the foot, because who in their right mind would pay $2.00 for ONE SONG? Having said that, who would pay for something that they can get free elsewhere, like on Napster, SX and the other file sharing communities?

Universal is just the latest record label, in a series of major mistakes since the emergence of the MP3 Revolution, in the industry to attempt to offer downloads for a price. EMI, Time Warner and Sony have already created ventures that offer downloads of their catalogs available for a price, but they are doing far from what one would consider good business. One has to wonder if the record labels will ever get it. A question that comes to my mind is whether or not they WANT to get it?

Up to this point, the recording industry has yet to come up with an alternative business model that offers the similiar service to that of Napster. Instead, what do they do? The go AFTER Napster and argue that it is the SOLE RIGHT of the recording industry to provide service of this type and Napster is INVADING their area. Is that one of the most childish arguments that you have ever heard? I mean, let us be realistic...they are effectively saying that because the own the copyright then NOBODY is allowed to distribute digital music EXCEPT them. The problem with this is that NOBODY wants to use their shoddy services! Most people agree that, while providing not the greatest quality files, Napster is better than nothing. It's no wonder they are failing, miserably, at online distribution; the recording industry is just a bunch of dinosaurs trying to stay alive in a time when they will eventually, hopefully, die - unless they change.

Martin Bandier, group executive at EMI, said that his son introduced him to MP3 by telling him no name his favorite song. Moments later that very song came oozing out of the nifty speakers attached to his computer. "I almost passed out," exclaimed Bandier, who watched his son queue up many different songs that same day. According to Bandier, the whole Motown catalog, which is worth roughly $20 million on an annual basis for EMI, was downloaded and stored on his family computer - all leeched from Napster in one afternoon. Somehow I would have to question the validity of this claim, especially since Bandier works for EMI himself and therefore has access to obtaining these very files on his own.

Hilary Rosen, head of the RIAA, who is currently persuing legal action against Napster, says that it is time that the FBI gets involved in all of this online file sharing. "The feds need to step up to the plate and deal with it," says Rosen. "They need to change the way they investigate and prosecute violators of copyright law on the Internet. And they need to move fast." She believes that if the government does not get involved and start to get serious about enforcing copyright laws, and online piracy in general, then the impact on the US economy could quite possibly be devastating. Of course, she represents a side of that economy that stands to lose the most, and therefore speaks alot of rhetoric. While there is a huge "problem" or pirating music and video on the Internet right now, the labels are the ones that did not have the insight to catch on early - they are as much at fault as the next guy.

"Let me tell you what else is in trouble here: the Internet," Seagram head Edgar Bronfman Jr. says. "In the end, the Internet itself will not be able to survive if it becomes a haven for illegal activity. Copyrights must be protected online." Is this the end of the Internet? Should we all just pack our bags and go home and never logon again?

"This is a very profound moment historically," Time Warner President Richard Parsons says. "This isn't just about a bunch of kids stealing music. It's about an assault on everything that constitutes the cultural expression of our society. If we fail to protect and preserve our intellectual property system, the culture will atrophy. And corporations won't be the only ones hurt. Artists will have no incentive to create. Worst-case scenario: The country will end up in a sort of cultural Dark Ages."


User Comments (These do not necessarily reflect the beliefs of this site)

pressf8  
Date: July 19, 2000 @ 7:24 PM
What TM Pres. Richard Parson's says:
"And corporations won't be the only ones hurt. Artists will have no incentive to create."

What Richard Parsons means:
"Corporations will be hurt because artists will have no incentive to sign a Chapter 11--dah, I mean, contract with them."

This is so ridiculous. Here's my theory:
The record companies know this is bad business. They're counting on it. They want to go to congress and say, "Look, we're trying to provide digital distribution, but nobody will pay while file sharing is around--so kill it." I just pray that our government isn't so stupid to fall for it.

Brian
http://www.screwmetallica.org/

Anonymous  
Date: July 19, 2000 @ 7:26 PM
"Worst-case scenario: The country will end up in a sort of cultural Dark Ages."

Whatever, with all the N'Sync's, BByz, Spears, etc. we aren't exactly in a cultural renissance. Maybe this all will wake up the industry and get their butts out pushing artists that don't sound like the rest. Who knows, maybe the consumers will get to decide? I doubt it though, it'll prolly be same old same old when they get through w/Napster and the rest of the proggies.

Anonymous  
Date: July 19, 2000 @ 8:19 PM
I get it...they lost soooo much money due to stealing that this is suppose to justify increase music prices. Sorry guys, this will not work. Other upcoming record labels will wipe you out within 10 years.

jark  
Date: July 19, 2000 @ 9:07 PM
10 years? Are you kidding me? I give them _2_ at the MOST unless they can catch on to digital distribution.


--[ jark ]--

pressf8  
Date: July 20, 2000 @ 7:55 AM
Wait, didn't I just post this idea last night? :)

Brian
http://www.screwmetallica.org

kurt_nimmo  
Date: July 20, 2000 @ 2:13 PM
Hell with Universal and their overpriced digital downloads.

Here's an article that details the real success of online music distribution:

http://www.nytimes.com/library/tech/yr/mo/biztech/articles/20tune.html

(NYTimes registration required; it's free, but a pain in the ass)

Anonymous  
Date: July 20, 2000 @ 4:32 PM
RIAA, shut up!! You are doing the wrong thing in suing all these companies!! PROMOTE THE TECHNOLOGY, AND NAPSTER WILL SURELY DIE.

Anonymous  
Date: July 20, 2000 @ 5:36 PM
AHHHHHH!!!

NOW I understand!

NOW the truth begins to emerge!!

It's the INTERNET that scares the bejeezus out of them!
The big corporations want to put the INTERNET out of business!
They can't control it so they want to kill it!
So they're enlisting the Government to do the dirty deed for them!

I guess the ability of empowering Joe Q. Public doesn't sit right with them.....

Anonymous  
Date: July 20, 2000 @ 7:30 PM
Don't come with this damn phoquin piece of crap telling me that you want to preserve the intellectual and cultural shit expression of music, if you really were that interested in that you would have been phoquin happy knowing that million of people download the music to listen to it and to fill their brains with the philosophy the lyrics of every song has. Don't come with that crap. Just phoquin say that you can't stand that people listen to your music without seeing money incoming. All this shit is about money (well, we already knew since the begining). Any company will do whatever to survive, even goverment and presidents will do anything to be still standing up.
The internet will not ever end, even if they assign the whole FBI staff to this case. What is not going to survive is the old system of distribution and copyright owners and distributors. What is going to be created is a whole new way of getting what you want as you want when you want. No one will tell you how, when, and will not ever charge you $2.00 for something.
Because WE now have the desicion and control of what will survive or will not. Unless they do dirty moves to gain control again.

- RdpC